Pension rates

Stakeholder pensions came into effect from 6 April 2001. You do not need to be working to contribute to the scheme. To be eligible you must be:

• under 75 years of age, and
• resident and ordinarily resident in the UK.

Stakeholder pensions are aimed at middle earners although all people can contribute, irrespective of earnings. Middle earners are those earning between £9,500 and £20,000 per annum.

If you are employed you can claim basic rate tax relief on the amounts paid. You need only pay £2,808 into the scheme each year to get the full relief due of £3,600.

Employers with five or more employees who do not have a pensions scheme must offer access to a Stakeholder scheme.

This page was last reviewed on 03 April 2006.
The information may not reflect changes in legislation made after this date.